Requires shareholders to approve corporate political expenditures.
Summary
Bill A02463 seeks to amend the business corporation law in New York by requiring that shareholders approve any political expenditures made by corporations. The bill defines 'political expenditure' broadly to include contributions or disbursements aimed at influencing elections or political outcomes. Corporations would need to obtain majority shareholder approval for the total amount allocated for political expenditures within a fiscal year and specify the intended recipients or purposes of these funds. Additionally, corporations must notify shareholders of any political expenditures within 48 hours and include a detailed list of such expenditures in their annual reports.
Impact
If enacted, this bill would significantly alter the way corporations engage in political spending in New York. It would enforce greater transparency and accountability by requiring shareholder consent for political expenditures, potentially limiting the financial influence of corporations in political campaigns. The bill also prohibits corporations from making political expenditures if a majority of shares are owned by entities that cannot take political positions, such as pension funds and certain nonprofits, thereby restricting corporate political spending in these cases.
Sentiment
The sentiment surrounding Bill A02463 appears to be mixed, with proponents advocating for increased transparency and accountability in corporate political spending, while opponents may argue that it could hinder corporate free speech and political engagement. The lack of voting history and committee discussions makes it difficult to gauge the overall legislative support or opposition at this time.
Contention
Notable points of contention include the balance between corporate free speech and the need for shareholder oversight on political contributions. Proponents of the bill argue that shareholders should have a say in how their investments are used in political contexts, while critics may contend that such regulations could infringe on the rights of corporations to participate in the political process. Additionally, the implications for corporations with diverse ownership structures, particularly those with significant institutional investors, are likely to be debated.
Allows New Jersey S corporations to elect to transfer corporation business tax credits to shareholders to apply against the shareholders' gross income tax liability.
In the Secretary of the Commonwealth, further providing for powers and duties of the Secretary ofthe Commonwealth; in primary and election expenses, further providing for definitions, for organization of political committees, treasurer and assistant treasurer and records of candidate and committees, for registration and for reporting by candidate and political committees and other persons, providing for limitations on certain contributions, further providing for residual funds, for late filing fee and certificate of filing, for contributions or expenditures by national banks, corporations or unincorporated associations, for advertising and for reports by business entities and publication by Secretary of the Commonwealth and providing for independent expenditures and for independent expenditure evaluation; and providing for corporate political accountability.
In the Secretary of the Commonwealth, further providing for powers and duties of the Secretary ofthe Commonwealth; in primary and election expenses, further providing for definitions, for organization of political committees, treasurer and assistant treasurer and records of candidate and committees, for registration and for reporting by candidate and political committees and other persons, providing for limitations on certain contributions, further providing for residual funds, for late filing fee and certificate of filing, for contributions or expenditures by national banks, corporations or unincorporated associations, for advertising and for reports by business entities and publication by Secretary of the Commonwealth and providing for independent expenditures and for independent expenditure evaluation; and providing for corporate political accountability.
To Require Disclosure And Reporting Of Noncandidate Expenditures Pertaining To Appellate Judicial Elections; And To Adopt New Laws Concerning Appellate Judicial Campaigns.